Fireman’s Fund to Pay $44M to Settle Crop insurance Fraud fees

Fireman’s Fund insurance Co. has agreed to pay $44 million to settle allegations underneath the false Claims Act that it knowingly issued coverage rules that were ineligible underneath the U.S. department of Agriculture’s (USDA) federal crop insurance program and falsified files, in line with the Justice department.

between 1999 and 2002, Fireman’s Fund operated a crop insurance commercial enterprise and took part inside the federal crop insurance software.  beneath the program, Fireman’s Fund offered and serviced crop insurance policies that were reinsured by the USDA for a portion of the dangers.

The Justice department alleged that between Jan. 1, 1999, and Dec. 31, 2002, Fireman’s Fund knowingly issued federally reinsured crop insurance regulations that have been ineligible for federal reinsurance.  especially, Fireman’s Fund allegedly backdated policies, solid farmers’ signatures, widely wide-spread overdue and altered documents, whited-out dates and signatures, and signed documents after relevant time limits.

The claims settled with the aid of this agreement are allegations simplest, and there was no determination of legal responsibility.

The policies have been issued by using Fireman’s Fund places of work in Modesto, California; Lambert, Mississippi; Fargo, North Dakota; Lubbock, Texas; Prosser, Washington; and Overland Park, Kansas.

Fireman’s Fund, an Allianz SE subsidiary founded in Novato, California, is now focusing on industrial coverage after agreeing in December to promote its private lines business to ACE.

officers stated the settlement resulted from an investigation by the Justice branch’s Civil division, the U.S. attorney’s workplace in the Western District of North Carolina and the USDA’s office of Inspector popular, office of Investigations, office of fashionable suggest, and hazard management agency, consisting of its unique Investigations department.

“today’s announcement shows how running along our companions in law enforcement, we will make sure the integrity of the crop coverage software for American taxpayers and producers alike,” said hazard control company Administrator Brandon Willis of the USDA.